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  4. Dwelling Policy

Free Dwelling Policy Practice Questions

Colorado Personal Lines exam — 43 practice questions.

Subtopics: Dwelling policy purpose, DP-1 basic form, DP-3 special form, No automatic liability, Fair rental value, Personal property option, Loss settlement, Purpose, No liability, Coverage A, Coverage B, Coverage C, Coverage D, Coverage E, Eligible dwellings, Extended coverage perils, Vandalism endorsement, Other coverages debris removal, Improvements by tenant, Personal liability supplement, Excluded perils, DP-2 broad form, Coverage C optional, Automatic increase, Theft endorsement, Reasonable repairs, Trees shrubs and plants, Fire department service charge, Property removed, Worldwide personal property, Definition of insured, Coinsurance clause, DP-3 loss settlement, Collapse coverage, Seasonal dwelling, Other structures rented, Lightning peril, Glass coverage, Fair rental value vs ALE, Ordinance or law

Read the Dwelling Policy study guide

Sample questions & answers

1. The dwelling policy (DP) is most commonly used to insure:

A rental or non-owner-occupied dwelling that does not qualify for a homeowners policy

The dwelling policy insures dwellings, including rentals and homes not eligible for a homeowners policy, and does not require owner occupancy.

2. The DP-1 (basic form) dwelling policy generally covers:

A limited list of named perils such as fire, lightning, and internal explosion

The DP-1 basic form covers a narrow set of named perils, with extended coverage perils available by endorsement.

3. Compared with the DP-1, the DP-3 (special form) dwelling policy provides:

Open-peril coverage on the dwelling and other structures

The DP-3 insures the dwelling and other structures on an open-perils basis, broader than the named-peril DP-1.

4. Unlike a homeowners policy, a basic dwelling policy generally does not automatically include:

Personal liability and theft coverage unless added

Dwelling policies focus on property coverage; personal liability and theft are not automatically included and must be added by endorsement.

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Practice: Dwelling Policy

Take a randomized, timed-style practice test. Answer choices are shuffled and your results are scored instantly with an explanation for every question.

Practice questions are study aids generated for exam preparation and are not actual exam questions. Content is provided for educational purposes and is not legal advice. Verify current statutes, rules, and exam specifications with the Insurance Department and the exam administrator before relying on it.